Following the breakdown of the crucial support at $280, the crypto has continued to fall and has extended its fall to the $260 low.
The recent downward move has been symbolic and unique. Buyers could have stopped the bearish run when the crypto fell to the $280 support thrice and corrected upward twice.
They could have sustained the price above the $290 high. Today, BCH is trading above $260 support level and attempting to push to the previous highs. The market will move up if the bulls push the price above the EMAs and it is sustained. The price will fall to $240 low if the bullish move is repelled. Also, the price action is showing signs of bullish signals indicating an upward move of the coin.
Bitcoin Cash indicator reading
BCH is in the bearish trend zone as price breaks below the EMAs. The coin risks a further decline to $240 low. It is at level 41 of the RSI period 14. It indicates that price is likely to fall as it is below the centerline 50.
Key Resistance Zones: $440, $480, $520
Key Support Zones: $200, $160, $120
What is the next move for Bitcoin Cash?
Bitcoin Cash has fallen to the oversold region of the market suggesting that buyers are likely to emerge. On August 1 uptrend, BCH was resisted but the retraced candle body tested the 61.8% Fibonacci retracement level. This implies that when BCH resumes uptrend the coin will rise and reach 1.618 Fibonacci extension level. That is, the market will reach a $380 high.
Disclaimer. This analysis and forecast are the personal opinions of the author that are not a recommendation to buy or sell cryptocurrency and should not be viewed as an endorsement by Coin Idol. Readers should do their own research before investing funds.
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